U.S. Settles Lawsuit Alleging That Bronx Nursing Home Paid Kickbacks For Patient Referrals And Switched Residents’ Healthcare Coverage Without Their Consent

 

Defendants, Including Former Nursing Home Administrator, Agree to Pay a Total of $3.46 Million

 Damian Williams, the United States Attorney for the Southern District of New York, and Naomi Gruchacz, the Special Agent in Charge of the New York Regional Office of the U.S. Department of Health and Human Services, Office of Inspector General (“HHS-OIG”), announced today that the United States has filed and settled a civil fraud lawsuit alleging that MORRIS PARK NURSING HOME (“MORRIS PARK”), a skilled nursing facility located in the Bronx, New York, engaged in two fraudulent and illegal schemes that violated the False Claims Act and the Anti-Kickback Statute.  The first scheme involved cash payments made to a supervisor at a nearby hospital for patient referrals, and the second scheme involved switching residents’ Medicare coverage without their consent in order to increase the Medicare payments MORRIS PARK received.  The United States’ complaint also names as defendants TZODIK WEINBERG, a/k/a “Justin Weinberg,” MORRIS PARK’s former Administrator, and MAIER ARM for their roles in the fraudulent conduct.    

Under the settlement agreements approved by U.S. District Judge Jennifer H. Rearden, the estate of the owner of MORRIS PARK at the time of the conduct alleged in the Complaint will pay to the United States $2.85 million, WEINBERG will pay $495,000, and ARM will pay $115,000.  Each defendant also made extensive factual admissions regarding their conduct.  The settlement with the estate took into consideration MORRIS PARK’s prior voluntary self-disclosure of facts related to the improper changes made to residents’ insurance coverage. 

HHS-OIG Special Agent in Charge Naomi Gruchacz said: “The misconduct that occurred at Morris Park exhibits the prioritization of profits over residents’ best interests.  This nursing home paid illegal kickbacks to manipulate the resident referral process and changed patients’ health coverage selections without properly obtaining their consent, with no apparent concern for how these events could negatively impact residents.  HHS-OIG and our fellow law enforcement agencies strive to ensure that entities furnishing services to Medicare enrollees are operating in accordance with federal health care laws.”

Medicare beneficiaries may enroll in Medicare Parts A and B, known as Original Medicare, or in Medicare Part C Advantage Plans (“MA Plans”), which are administered by private companies that contract with the government.  Under Original Medicare, the Centers for Medicare & Medicaid Services (“CMS”) directly reimburses healthcare providers, like skilled nursing facilities, on a fee-for-service basis.  In contrast, when reimbursing services provided under MA Plans, CMS pays Medicare Advantage Organizations (“MAOs”), which operate the MA Plans, a fixed, capitated amount each month for each Medicare beneficiary enrolled in the MA Plan.  CMS advises individuals to consider various factors in deciding between enrolling in an MA Plan or Original Medicare, such as differences in out-of-pocket costs and doctor choice.

As alleged in the Complaint filed in Manhattan federal court:

It is well known within the skilled nursing facility industry that it is usually more profitable for the facility to admit residents enrolled in Original Medicare than in MA Plans.  The defendants engaged in two fraudulent and illegal schemes to increase the number of Original Medicare residents at MORRIS PARK.

Payment of Cash Kickbacks for Patient Referrals

From January 1, 2017, through December 31, 2019, MORRIS PARK offered and paid remuneration in the form of cash payments, meals, and sports tickets to a Jacobi discharge planning supervisor (the “Jacobi Manager”) to induce her to refer Original Medicare beneficiaries for admission to MORRIS PARK.  For much of this period, MORRIS PARK paid the Jacobi Manager $150 for each referred patient who was admitted to the facility.  WEINBERG was responsible for delivering the cash payments personally to the Jacobi Manager, often arranging to meet her at a CVS parking lot close to MORRIS PARK.  He regularly reached out to the Jacobi Manager to request patient referrals when MORRIS PARK had empty beds. 

MORRIS PARK paid the Jacobi Manager a total of approximately $5,000 to $10,000 for referring dozens of Original Medicare patients for admission to MORRIS PARK.  In addition, MORRIS PARK offered the Jacobi Manager tickets to Yankees games, invited her and her staff to a MORRIS PARK-sponsored holiday party, and frequently arranged for food to be delivered to her office.

Scheme to Switch Residents’ Medicare Coverage

From January 1, 2018, through December 31, 2019, MORRIS PARK, at the direction of WEINBERG, disenrolled residents from their self-selected MA Plans and enrolled them in Original Medicare without obtaining the consent of the residents or their authorized representatives.  WEINBERG pressured MORRIS PARK staff to disenroll residents from their MA Plans. 

MORRIS PARK staff approached residents, often at their bedside, to try to persuade them to switch their insurance coverage.  When talking to residents and their families, MORRIS PARK staff typically did not fully explain how the change to Original Medicare would impact the resident’s coverage, including potential changes to the resident’s co-payments and deductibles; the potential loss of supplemental coverage available under the resident’s MA Plan; any resulting change in the resident’s drug plan; or limitations on when the resident could re-enroll in the plan after leaving MORRIS PARK.  In most cases, the defendants switched residents’ insurance coverage without getting the residents or their family members to sign a consent form evidencing the resident’s consent to the insurance change.  In certain instances, at the direction of WEINBERG, MORRIS PARK staff offered to reduce or waive the co-payments that would be owed by residents under Original Medicare in order to try to persuade them to agree to disenroll from their MA Plan.   

In the summer of 2018, on WEINBERG’s recommendation, MORRIS PARK retained WEINBERG’s friend, ARM (who worked at another skilled nursing facility) to assist with the improper disenrollments.  MORRIS PARK paid ARM a $1,000 fee for each resident whom ARM helped to switch to Original Medicare.  ARM agreed to split this $1,000 fee with WEINBERG, so WEINBERG would pocket $500 for each resident who was disenrolled. 

The settlement with the estate of the owner of MORRIS PARK at the time of the misconduct includes the following admissions of conduct:

• During the period from 2017 through 2019, MORRIS PARK offered to make, and in fact made, cash payments to the Jacobi Manager for each Original Medicare patient referral that resulted in an admission to the facility.  For much of this period, the Jacobi Manager received the sum of $150 for each referral. 
• During the period from 2017 through 2019, MORRIS PARK admitted dozens of Medicare patients who were referred to the facility by Jacobi.
• In order to persuade residents to disenroll from their MA Plans, in many instances, MORRIS PARK staff did not fully explain to residents and their families how a switch to Original Medicare would affect the resident’s coverage, including potential changes to the resident’s co-payments and deductibles and the potential loss of supplemental coverage that was available under the resident’s MA Plan.  In some instances, MORRIS PARK staff offered inducements to residents or their family members to try to persuade them to agree to the disenrollment.  For example, at the direction of WEINBERG, staff sometimes offered to reduce or waive the co-payments that residents would be required to pay starting on the 21st day of their stay at the facility if they switched to Original Medicare. 
• In most cases, MORRIS PARK disenrolled residents from their MA Plans without obtaining from the resident or any family member a signed disenrollment form or any other document evidencing the resident’s consent to the insurance change.  In several instances, MORRIS PARK disenrolled residents even after the residents and/or their family members had indicated they did not want to switch their Medicare coverage.
• Starting in early 2019, MORRIS PARK paid WEINBERG monthly cash bonuses if the average number of Original Medicare residents at the facility was maintained at a certain level for a given month.  MORRIS PARK also paid bonuses to marketing and admissions staff members that were tied to the admission of new residents with Original Medicare.

As part of his settlement, WEINBERG admits, acknowledges, and accepts responsibility for the following conduct:  

• Starting sometime in 2017, WEINBERG was responsible for delivering the cash payments personally to the Jacobi Manager.  They texted to arrange a time and place to meet in person, often meeting at a CVS parking lot close to MORRIS PARK.  WEINBERG reached out to the Jacobi Manager on numerous occasions to ask for patient referrals so he could fill empty beds at MORRIS PARK.
• During his time at MORRIS PARK, WEINBERG sought to maximize the number of residents who were enrolled in Original Medicare. 
• Shortly after he became Administrator, WEINBERG directed MORRIS PARK’s staff to try to persuade many of the facility’s residents to disenroll from their MA Plans and to enroll in Original Medicare instead.  WEINBERG identified residents who were candidates for disenrollment and then pressured staff to take steps to switch those residents’ insurance coverage. 
• In the summer of 2018, WEINBERG contacted his friend, ARM, who worked full-time at another skilled nursing facility in the Bronx.  WEINBERG asked ARM to assist with the disenrollment process at MORRIS PARK.  MORRIS PARK reached an agreement with ARM under which MORRIS PARK would pay $1,000 to ARM for each MORRIS PARK resident whom ARM helped to disenroll from a Medicare Advantage Plan and enroll in Original Medicare.  WEINBERG and ARM agreed that they would split this $1,000 payment, so that WEINBERG would receive $500 for each resident disenrolled.  WEINBERG did not disclose this arrangement to MORRIS PARK.
• Once ARM was retained, the pace of disenrollments dramatically increased.  WEINBERG continued to exert significant pressure on MORRIS PARK staff to disenroll as many residents from Medicare Advantage Plans as possible.  In one instance in July 2019, WEINBERG directed the facility’s Financial Coordinator to disenroll a resident who clearly lacked the capacity to consent to a change in their insurance coverage.  The Financial Coordinator asked WEINBERG “[h]ow do we do a dis enrollment” when the resident “is not alert” and has no family.  WEINBERG responded: “We just do it.” 

As part of his settlement, ARM admits, acknowledges, and accepts responsibility for the following conduct:  

• ARM understood that MORRIS PARK would benefit from maximizing the number of residents who were enrolled in Original Medicare because the facility typically received a higher daily reimbursement rate for residents enrolled in Original Medicare as compared to MA Plans, and Original Medicare residents were often approved by Medicare for longer stays in the facility.  
• ARM reached an agreement under which MORRIS PARK would pay $1,000 to ARM for each MORRIS PARK resident whom ARM helped to disenroll from a MA Plan and enroll in Original Medicare.  WEINBERG asked ARM to split this $1,000 payment with him, so that WEINBERG would receive $500 for each resident disenrolled.  ARM agreed.  ARM did not disclose this arrangement to anyone else at MORRIS PARK.
• From August 2018 through December 2019, MORRIS PARK paid ARM $1,000 for each MORRIS PARK resident who was disenrolled from their MA Plan and enrolled in Original Medicare.  
• Although ARM usually relied on MORRIS PARK staff to obtain and document the resident’s consent, he did not confirm that the resident had actually consented or signed the disenrollment form before processing the disenrollment.

Mr. Williams thanked HHS-OIG for its assistance with the case. 

Attorney General James and Acting State Police Superintendent Nigrelli Announce Sentencing of Disbarred Attorney Who Embezzled from Vulnerable New Yorkers

 

John Ferdinand Murphy Sentenced to 4 to 12 Years in Prison for Defrauding Individuals He Was Entrusted to Protect

New York Attorney General Letitia James and Acting New York State Police Superintendent Steven A. Nigrelli today announced the sentencing of John Ferdinand Murphy, III, 68, of Hopewell Junction, NY for embezzling more than $450,000 from multiple incapacitated and vulnerable individuals. After being appointed as a guardian and trustee, Murphy drained their trust accounts and issued checks to himself, his company, and his family members. Murphy previously pled guilty in March to one count of Grand Larceny in the Second Degree (class C felony) and one count of Scheme to Defraud in the First Degree (class E felony). He was sentenced today before Judge Edward McLoughlin to 4 to 12 years in state prison.

“New York has a system in place to protect the interests of our most vulnerable residents, and John Murphy abused it to enrich himself,” said Attorney General James. “Despite being entrusted by the law to protect New Yorkers who were unable to manage their own finances, John Murphy stole from them and violated their trust. This shameful misconduct harmed New Yorkers in need, and thankfully the perpetrator has been brought to justice and will face the consequences of his crimes.”

“I commend the work performed on this case by our State Police members and our partners at the Attorney General’s office that has led to this sentencing,” said Acting Superintendent Nigrelli. “Mr. Murphy had absolutely no regard for his victims or their well-being, instead he took advantage of them when they depended on his support and advocacy. This case serves as a reminder that those who prey on vulnerable and disabled individuals, especially when they are in a place of trust, will be prosecuted to the fullest extent.”

As outlined in the indictment, for nearly seven years Murphy abused his position as an attorney and took advantage of vulnerable and disabled individuals, including those for whom he was appointed to serve as guardian or trustee. In his role as a court-appointed guardian and trustee for incapacitated individuals, Murphy issued more than $350,000 in checks from their accounts for his own use. In one situation, while serving as trustee for an 89-year-old family friend, Murphy stole more than $80,000 and failed to pay the victim’s tax and utility bills, resulting in the client’s utilities being shut off on multiple occasions and a foreclosure proceeding on her home. In an attempt to conceal the foreclosure, Murphy sought a seller for the home and collected a $10,000 down payment, which he then deposited into his own bank account. The home was never conveyed to the seller, and Murphy kept the down payment money. However, with the assistance of the New York City Justice Center, the victim has been able to remain in her home.

Murphy was arraigned in December 2022 and charged for the thefts he committed from June 26, 2015 to December 29, 2021. He was suspended from practicing law in August 2021 and disbarred in December of that year. In addition to sentencing Murphy to 4 to 12 years in state prison, the court ordered judgments totaling more than $450,000 in favor of the victims. 

Attorney General James thanks the New York State Police’s Financial Crimes Unit, the Office of Court Administration Inspector General, the New York City Justice Center, and the Dutchess County District Attorney’s Office for their assistance.

Governor Hochul Signs Legislation to Strengthen Health Care Workforce

 

Legislation (A3076-A/S447-C) Permits Nursing Students to Complete Up to One Third of Their Clinical Training Through Simulation Experiences

Legislation Will Expedite Training to Help Address Nursing Shortage and Improve Care for New Yorkers

Governor Kathy Hochul signed legislation (A3076-A/S447-C) into law, strengthening New York’s health care workforce by permitting nursing students to complete up to one third of their clinical training through simulation experiences. Overseen by the New York State Education Department, simulation training gives students hands-on experience in clinical environments while allowing nursing education programs to offer more options for clinical education. As New York currently faces a nursing shortage, expanding simulation experiences can help expedite training and deliver an influx of nurses where they are needed most.

“Our nurses have been invaluable to our health care system, especially throughout the pandemic, but too often feel overworked doing the jobs that they love, which has only been amplified by the current nursing shortage,” Governor Hochul said. “I’m proud to sign legislation strengthening our health care workforce expediting training and allowing more capable nurses into the workforce improving care for all and creating a safer, healthier New York.”

We invested over $10 billion in a multi-year effort, all hands on deck across the board way to support our health care workers, our institutions. And that meant $4 billion in wages and bonuses for health care workers as just a way to say thank you.  

We know what you've gone through. We want you to stay in your profession. We launched the Nurses for Our Future Program to recruit the next generation of workers - over a thousand scholarships, full tuition, to go to people who want to enter this profession and get a two- or four-year degree at one of our institutions.  

Also, loan repayments. The cost of education is high. So, we help repay their loans. $2.5 million also - helping to train nurses to go into our underserved communities. And that can be a rural area, it can be a very densely populated city block, but we know where they are and we're trying to get more personnel to go into them.  

This will make nursing education more accessible, helping to address New York’s nursing shortage, which is projected to reach a workforce need of nearly 40,000 employees by 2030. Training needed to become a highly skilled nurse in New York limits clinical placements in a hospital setting, and until students complete those placements, they cannot receive their nursing license and join the workforce. Instead of forcing eager students to wait for an open spot in a hospital, expanding simulated training will help clear the logjam, address the shortage, and ensure high quality care for millions of New Yorkers. High-tech, high-quality simulation training is already in place in 31 states.

CIVIC ENGAGEMENT COMMISSION LAUNCHES VOTING PHASE OF FIRST-EVER CITYWIDE PARTICIPATORY BUDGETING PROCESS

 

All New Yorkers 11 and older can now vote on how to spend $5 million of “The People’s Money”

New York City Civic Engagement Commission (CEC) Chair and Executive Director Dr. Sarah Sayeed today announced the launch of “The People’s Money” voting phase. “The People’s Money” is New York City’s first-ever citywide participatory budgeting process. Until June 25th, all New York City residents ages 11 and older, regardless of immigration status, will be able to vote on how to spend $5 million of mayoral expense funding to address community needs.

 

New Yorkers living in any one of the five boroughs will be able to vote on a ballot for their borough, while those living in one of 33 equity neighborhoods will also be able to vote on a ballot for their neighborhood. Residents can vote online by inputting their zip codes. Paper ballots will also be available citywide at sites listed here. After June 25th, ballots will be tabulated, winning projects will be announced, and then be implemented starting in 2024.

 

The CEC will be co-hosting five flagship events, one in each borough featuring The People’s Bus, a retired Department of Corrections vehicle transformed into a mobile community center, where residents will also be able to vote. The events are:

• Bronx Week Culture Festival: Grand Concourse (from 168 to 161) – May 21^st
• Queens Night Market: Flushing Meadows Park – June 3^rd
• Family & Fatherhood Fun Day: Clove Lakes Park – June 10^th
• Museum Mile Festival: Museum of the City of New York – June 13^th
• BRIC Celebrate Brooklyn! Festival: Prospect Park Bandshell – June 15^th

 

“As we work towards a more equitable city, the launch of 'The People's Money' represents a significant step towards inclusiveness," said New York City Mayor Eric Adams. "By allowing all New York City residents to vote on how to spend $5 million of mayoral expense funding, we are empowering communities to have a direct say in addressing their needs. I encourage all eligible residents to participate in this historic participatory budgeting process and help shape the future of our great city.”

 

“The city budget is, in fact, the people’s money. This year, for the first time ever, New Yorkers across the city have the opportunity to weigh in directly and specifically on how your money is spent,” said NYC Chief Engagement Officer Betsy MacLean. “Big ups to the Civic Engagement Commission — leading the direct democracy charge in our city with an abiding emphasis on equity, inclusion, creativity, and joy.  Please join us in this transformative effort and vote! Together we can send a powerful message that New Yorkers want, need, and love participatory budgeting!”

 

“Throughout The People’s Money process, the CEC has been focused on manifesting community power and meeting New Yorkers where they are at. During this voting phase we will continue our robust efforts to engage equitably with residents across the five boroughs,” said Dr. Sarah Sayeed, Chair and Executive Director, NYC Civic Engagement Commission. “Participatory budgeting is a pathway into civic engagement that enables communities to move their voice into action on decisions that impact their lives.”

 

On September 14^th, 2022, Mayor Adams and the CEC announced the launch of The People’s Money. From September through November of 2022, the CEC invited New Yorkers to virtual and in-person workshops to learn about the city budget cycle, identify community needs, and brainstorm ideas for expense projects through interactive activities and discussion. Residents were also able to propose ideas and projects online directly on this platform. Prior to launching, the CEC led a robust engagement process to solicit proposals from community-based organizations and other groups to host Idea Generations Sessions across the five boroughs. The CEC received 220 applications and selected 82 partners.

 

The CEC and 82 partners facilitated 523 Idea Generation sessions across the city through which we engaged 12,344 New Yorkers. In addition to sessions facilitated by partner organizations, the CEC also collaborated with the offices of Borough Presidents to host five borough-based Idea Generation Sessions. New Yorkers submitted 2,023 ideas for our boroughs and 2,116 ideas for our equity neighborhoods.

 

From December 2022 through February 2023, randomly selected resident committees evaluated submitted ideas against equity and feasibility criteria and developed and selected the final project proposals to be placed on the ballots.

 

Throughout the month of March, the CEC held 13 strategy sessions open to the public to elicit input on how to perform ‘Get Out the Vote’ outreach most effectively. 33 contracted organizational partners will engage in targeted outreach in Equity Neighborhoods to ensure an inclusive and equitable process.

 

“Citywide participatory budgeting will give New Yorkers a voice on how our city spends public dollars for their community,” said New York City Comptroller Brad Lander. “As one of the first city council members to kick-off participatory budgeting in my district, I have witnessed firsthand how a community-driven budgeting process can empower our neighbors. I’m extremely excited it is being implemented citywide and cannot wait to see what policies and programs New Yorkers choose to prioritize across the five boroughs.”

The People’s Money Background:

In November 2018, one million New Yorkers voted and approved three ballot initiatives proposed by the 2018 Charter Revision Commission. This established the NYC CEC and included a mandate for the CEC to implement a citywide participatory budgeting (PB) process. Prior to receiving funding to run a citywide program, the CEC ran two localized PB processes, beginning with “It’s Our Money” in 2019 and “The People’s Money” in 2021:

• “It’s Our Money,” (2019) funded five $20,000 youth-focused projects and engaged over 3,000 young people citywide. This process was designed by youth, for youth, with the goal of empowering young people to voice their priorities and needs to determine which project ideas should be funded. Youth organizations were invited to submit project proposals that targeted young people’s specific needs and interests. 

• In 2021, the CEC launched “The People’s Money,” a $1.3 million PB process in the 33 neighborhoods hardest hit by COVID-19, as part of the Taskforce for Racial Inclusion and Equity (TRIE) Neighborhood Initiative and in partnership with YMI (the Young Men’s Initiative). Residents decided how to spend over $40,000 in expense funding in programs & services for their neighborhood.

Traditionally, participatory budgeting in New York City has only been accessible to residents whose council members have opted to run a process in their district, primarily through discretionary capital funding for projects that can take years to materialize. However, a process utilizing expense funding provides residents with the flexibility to submit creative ideas that may include projects, services, or events, and to see the projects that receive the majority vote implemented within the following year.

All projects for this cycle must be completed by June of 2024. The CEC will report back the results of the projects upon completion, including metrics such as the number of residents served, outcomes, highlights, successes, and challenges.

Implementation of citywide PB strengthens and expands what is currently the largest PB process in the nation, while deepening civic trust and engaging communities in a process grounded in the principle of collective determination. Citywide PB will showcase a new and unique collaboration between City Hall and its agencies, Borough Presidents, City Council, community boards, CBOs, New Yorkers, and particularly those who have been historically underrepresented. 

EDITOR' NOTE:

It is the opinion of this the editor of this blog that an elected official should know the problems of what area they represent and where money needs to be allocated, or they should not be in office. 

Comptrollers DiNapoli, Lander Urge Netflix Investors to Support Workers' Rights

 

Shareholder Proposal Asks Company to Adopt Public Commitment to Protect Freedom of Association, Collective Bargaining

New York State Comptroller Thomas P. DiNapoli and New York City Comptroller Brad Lander today announced that they have called on Netflix shareholders to support their joint proposal urging the streaming service to uphold its employees’ rights to freedom of association and collective bargaining. Their shareholder proposal will be subject to a vote at the company’s annual meeting on June 1, 2023.

“Workers have fundamental rights, including the right to join a union and collectively bargain for better pay and workplace conditions,” DiNapoli said. “While Netflix says it’s now a leader in the highly unionized entertainment industry, it’s lagging when it comes to ensuring the rights of its employees. Failure to uphold workers’ rights can damage the company and its investors.”

“Netflix can and must do better to improve their commitment to upholding worker rights if they want to remain a leader in the entertainment industry. They have thus far failed to adopt and disclose a clear policy on freedom of association and collective bargaining exposing it to human capital management risks that could harm long-term shareholder value. As investors, we are concerned when the behavior of a portfolio company stands in contrast with fair treatment of its workforce,” said New York City Comptroller Brad Lander.

The shareholder proposal at Netflix asks the board “to adopt and publicly disclose a policy on their commitment to respect their employees’ rights to freedom of association and collective bargaining.” It notes that employees’ discontent with management has resulted in walkouts and demands for change in company culture. Many of the working conditions at the heart of the Writer’s Guild of America strike reflect issues that would appropriately be addressed by a comprehensive human rights policy.

Netflix should have a publicly disclosed policy to enable investors to assess whether the company is sufficiently addressing labor risks and their potential effect on stockholder value.

DiNapoli and Lander’s Netflix proposal was part of a broader 2023 initiative to encourage companies to adopt better workers' rights policies and practices. This included co- filing shareholder proposals at CVS Pharmacy Inc., DoorDash Inc. and  Walmart Inc., and separately at Gannett Co. Shareholders are expected to vote on the proposal at CVS’s annual meeting on May 18, 2023.

Link to exempt solicitation encouraging Netflix shareholders to support their proposal: https://www.sec.gov/Archives/edgar/data/810265/000121465923006341/j52231px14a6g.htm

DEC URGES NEW YORKERS: IF YOU CARE, LEAVE IT THERE

 

Public Cautioned Against Disturbing Fawns and Other Young Wildlife

New York State Department of Environmental Conservation (DEC) Commissioner Basil Seggos today reminded New Yorkers to appreciate wildlife from a safe distance and resist the urge to touch or pick up newborn fawns and other young wildlife. Human contact with wildlife can result in unintended consequences detrimental to the animals people intend to help.

 

“This is the time of year New Yorkers are more likely to see young or newborn animals in their yards and mistakenly think these animals need help,” Commissioner Seggos said. "The recently fledged birds or baby rabbits in your yard likely have parents hiding nearby keeping an eye on their offspring. Please resist the urge to touch these wild animals and instead enjoy the encounter from a safe distance. Remember - if you care, leave it there."

 

During spring months, animal sightings and encounters are common. Young wildlife quickly venture into the world on wobbly legs or are unable to fly on their own. While most young wildlife learn survival skills from one or both parents, some receive little or no care. Often, wild animals stay away from their young, especially when people or pets are present. For these young animals, the perils of survival are a natural part of life in the wild. Unfortunately, well-intentioned individuals may attempt to care for young wild animals they believe to be abandoned or in need of assistance. These human interactions typically do more harm than good.

 

For example, white-tailed deer fawns are born during late May and early June. Although fawns can walk shortly after birth, they spend most of their first several days lying still in tall grass, leaf litter, or sometimes relatively unconcealed. During this period, a fawn is usually left alone by the adult female (doe), except when nursing. People occasionally find a lone fawn and mistakenly assume it has been abandoned, which is rare. Fawns should be left alone. Take a picture, but don’t take the fawn or attempt to feed it. If human presence is detected by the doe, the doe may delay its next visit to nurse. A fawn's best chance to survive is to be raised by the adult doe. Fawns nurse three to four times a day, usually for less than 30 minutes at a time, but otherwise the doe keeps her distance, which helps reduce the chance a predator will follow her to the fawn. A fawn's protective coloration and ability to remain motionless help it avoid detection by predators and people. By the end of its second week of a fawn's life, it begins to move about and spend more time with the doe. It also begins to eat grass and leaves. At about 10 weeks of age, fawns are no longer dependent on milk, although they continue to nurse occasionally into the fall.

 

DEC also reminds the public that young wildlife are not pets. Keeping wildlife in captivity is illegal and harmful to the animal. Wild animals are not well-suited for life in captivity and may carry diseases that can be transferred to humans. Anyone who observes wildlife that appear to be sick or behaving abnormally should contact their DEC regional wildlife office.

 

Anyone that encounters a young wild animal that is obviously injured or orphaned should call a wildlife rehabilitator. Wildlife rehabilitators are trained volunteers licensed by DEC. They are the only people legally allowed to receive and treat distressed wildlife. They have the experience, expertise, and facilities to successfully treat and release wild animals.

 

DEC advises to keep pets indoors when young animals are present. Many fledgling birds cannot fly when they first leave the nest and are easy prey for a house cat.

 

For more information and answers to frequently asked questions about young wildlife, visit DEC's website.

MAYOR ADAMS ANNOUNCES PLAN TO COMBAT RETAIL THEFT IN NEW YORK CITY

 

Plan Includes Prevention and Intervention Efforts, Enhanced Enforcement to Stem Increase in Shoplifting

 

Report Follows December Summit with NYPD, Attorney General, Five DAs, Small Businesses, National Retailers, Union Leaders, Local BIDs, Chambers of Commerce, and More

New York City Mayor Eric Adams today announced the release a comprehensive plan to combat retail theft across New York City’s five boroughs. With the exception of 2020, the total number of citywide shoplifting complaints has increased year over year since 2018, with the largest increase — 44 percent — taking place from 2021 to 2022. The increase in retail theft has had a particularly significant impact on retailers that are still recovering from the economic effects of the COVID-19 pandemic. The Retail Theft Report — created through a collaborative effort between retailers, law enforcement, and other stakeholders that came together through a summit hosted by Mayor Adams at Gracie Mansion — includes both upstream, program-oriented solutions and enhanced enforcement efforts, as well as information on existing efforts across New York City agencies to combat retail theft.

 

“Shoplifters and organized crime rings prey on businesses that have already taken a hit due to COVID-19, but, with this comprehensive plan, we’re going to beat back on retail theft through a combination of law enforcement, prevention, and intervention,” said Mayor Adams. “Last year alone, 327 repeat offenders were responsible for 30 percent of the more than 22,000 retail thefts across our city. This hurt our businesses, our workers, our customers, and our city. This plan will help us invest in diversion programs and in underlying factors leading to retail theft, works upstream to stop some of the factors leading to a crime before one takes place, trains retail workers in de-escalation tactics and security best practices, and takes numerous actions to increase necessary enforcement against repeat shoplifters and deter organized crime rings perpetrating these thefts. Most importantly, this plan aims to reassure our store owners that we know they are essential to our city, and we have their backs. I want to thank the nearly 100 stakeholders from the public and private sectors who participated in our summit last year and who contributed to drafting this report for bringing forward their innovative solutions to tackle this critical issue.”

 

“Retail theft doesn’t just strike at the heart of our economy; it strikes at the hearts and livelihoods of New Yorkers themselves,” said Deputy Mayor for Public Safety Philip Banks III. “It affects every one of us, and it is going to take all of us to solve it — law enforcement, government, retailers, and the public. This plan is our roadmap forward, and we will continue to work together to protect our stores.”

 

“Rising retail theft has been a principal concern among many small businesses and a hindrance to our continued economic growth,” said Deputy Mayor for Economic and Workforce Development Maria Torres-Springer. “The plan we’re announcing today is balanced, clear-eyed, impactful, and will provide real support to our small business owners and commercial corridors, making our city safer and stronger.”

 

“As with everything we do in our city, our efforts to combat retail theft require the continued, unwavering commitment and partnership of everyone — every single stakeholder,” said New York City Police Department (NYPD) Commissioner Keechant L. Sewell. “Collectively, we have identified a problem and we’re working together to prevent it from enduring. This is how the NYPD is making New York City safer for all: By working in close collaboration with all of our law enforcement partners and, most importantly, alongside the people we serve.”

 

“Public safety and prosperity go hand-in-hand, and this administration is protecting both,” said New York City Department of Small Business Services (SBS) Commissioner Kevin D. Kim. “This plan sends a clear signal that small businesses must continue to be allowed to lead our city’s economic recovery. SBS is eager to work with our partners in the business and public safety community, respectively, to ensure that the recommendations from this report are implemented."

 

“Across the country, cities are struggling to address the challenge of rising retail theft,” said Mayor’s Office of Criminal Justice Director Deanna Logan.  “Today, Mayor Adams leads New York in meeting this challenge with a plan that strikes the right balance between enforcement that promotes accountability and the interventions needed to support healthy neighborhoods resulting in safety, rehabilitation, and continued economic prosperity for all New Yorkers.”

 

Last December, Mayor Adams convened a summit comprised of more than 70 stakeholders to collaborate on policy and find creative solutions to address retail theft across New York City. The summit brought together law enforcement officials, government stakeholders, small business representatives, large retail groups, union leaders, business improvement districts, chambers of commerce, and diversion providers to discuss a variety of topics, including physical security measures, new diversion programs, leveraging technology to protect businesses and improve citywide responses, and enhancing existing partnerships among private, government, and non-profit sectors. The Adams administration then analyzed the information shared by the attendees at the summit, conducted independent research and data analyses, and consulted with law enforcement and retail business management to produce the recommendations in the report released today.

 

The plan comprises targeted solutions to reduce retail theft perpetrated by individual shoplifters, as well as organized crime rings, including a combination of increased law enforcement efforts and enhanced social service programming and resources to prevent shoplifting, particularly by individuals struggling with substance use disorders, serious mental illness, homelessness, or poverty.

 

Among the prevention and intervention strategies included in the plan, the administration will:

• Establish two new diversion programs — “Second Chance” and Re-Engaging Store Theft Offenders and Retail Establishments (RESTORE) — to allow non-violent offenders to avoid prosecution or incarceration by meaningfully engaging with services to help address underlying factors that lead to shoplifting.
• Install resource kiosks in stores to connect individuals in need to critical government resources and social services.
• Launch an employee support program to train retail workers in de-escalation tactics, anti-theft tools, and security best practices to help keep them safe in the event of an emergency and to support employees who have been impacted by thefts.

To increase necessary enforcement against repeat shoplifters and deter organized crime rings perpetrating these thefts, the administration will:

• Create a Precision Repeat Offender Program (PROP) in which retailers can submit dedicated security incident reports to the NYPD to better identify and track repeat offenders and facilitate stronger prosecutions by the five District Attorneys’ Offices.
• Establish a neighborhood retail watch for businesses in close proximity to one another to share real-time intelligence with each other and with law enforcement in the event of a theft. This program builds upon the NYPD’s Operation Safe Shopper initiative created under Mayor Adams’ leadership as Brooklyn borough president to expand video surveillance camera usage among participants.
• Advocate at the state and federal level for additional online sale authentication procedures to prevent the resale of stolen goods to build upon the federal Integrity, Notification, and Fairness in Online Retail Marketplaces (INFORM) for Consumers Act, which goes into effect in June 2023.
• Establish a New York City Organized Retail Theft Task Force, comprised of retailers, law enforcement agencies, and other stakeholders to collaborate and respond to retail theft trends.

“Retail theft continues to harm New Yorkers, threaten businesses, and threaten the safety of our communities,” said New York Attorney General Letitia James. “We know inflation is cutting into paychecks and forcing tough conversations around kitchen tables, but stealing from small businesses that are already struggling with high costs and low profit margins is not the answer. I am proud to have worked together with Mayor Adams, our District Attorneys, and the NYPD to address this problem, and I look forward to continuing our partnership and combating retail theft so New Yorkers can feel safe in their neighborhoods.”

 

“Manhattan is the retail capital of the country, and we need our business community to thrive,” said Manhattan District Attorney Alvin Bragg. “Retail theft has increased city-wide and nation-wide since the pandemic, and we must continue to work together to drive down shoplifting. However, there is encouraging news – for the first time since the pandemic, retail theft has begun to decline in Manhattan. Year to date, petit larcenies are down 8 percent and robberies are down 5 percent, and comparing the first quarter of 2023 to 2022, retail theft complaints are down 11 percent. While we have more work to do, we believe our partnership with the NYPD and mayor's office, and 5-point plan developed with the Small Business Alliance, is beginning to turn the tide.”

 

“The mayor’s plan to combat retail theft offers concrete measures to get this scourge under control by holding accountable organized or violent thieves, and addressing the needs of people who shoplift because of mental health or other issues,” said Bronx District Attorney Darcel D. Clark said. “The only way we are going to solve this major public safety and economic issue is to work together to support mom-and-pop bodegas to big box stores and everything in between, because they are the backbone of our communities.”

 

“Retail theft complaints more than doubled in Queens from 2018 through 2022,” said Queens District Attorney Melinda Katz. “In response to this surge and the resulting requests for help, I launched the Merchants Business Improvement Program in a variety of business districts in the borough.  Retailers have said the program has made a difference, but clearly more is needed, not just in Queens, but across the city.  I applaud the mayor for his leadership on this critical issue. We can never lose sight of the fact that communities thrive when local businesses thrive.”

 

“Retail theft can cause devastating financial losses for businesses, and it also compromises the feeling of safety and security that store employees, shoppers, and residents deserve,” said Brooklyn District Attorney Eric Gonzalez. “I commend Mayor Adams for his comprehensive plan to combat retail theft, which includes both prevention and intervention efforts to address the needs of the vulnerable, as well as enhanced enforcement to tackle this issue head-on. By working together and taking a multi-faceted problem-solving approach, we can create a safer and more vibrant city for all.”

 

“Opening and operating a retail business in New York City has always been a daunting yet immensely rewarding professional calling,” said Staten Island District Attorney Michael McMahon. “These vital New Yorkers and their countless thousands of employees have known this long before the headwinds caused by the pandemic, inflation, and a shortage in the labor market in just the past few years alone. That is why the rise in retail theft and the decline in the employee and customer experience in our retail stores is so deeply alarming and in need of immediate, forceful attention from law enforcement and all levels of government. I am encouraged by the forthcoming actions from the Adams administration that will focus first on increased accountability for those who steal from our stores and provide support for safety measures for our small businesses, while also creating opportunities for those who steal because of mental illness or substance use issues to heal themselves and the underlying reasons for their criminal behavior. Our incredible business community and the families they support deserve our full commitment to creating an environment where they can not only survive, but thrive and continue to serve the needs and wants of our neighbors across Staten Island and the entire city.”

U.S. Attorney Announces Conviction Of Iranian Large-Scale Heroin Trafficker

 

Malek Mohammad Balouchzehi Conspired to Sell Ton Quantities of Heroin for Distribution in New York

 As reflected in the Indictment, public filings, and the evidence presented at trial:

BALOUCHZEHI is an Iran-based drug trafficker.  In or about September 2019, BALOUCHZEHI and an Iranian drug trafficking partner began communicating with individuals whom BALOUCHZEHI believed were heroin traffickers interested in large quantities of heroin for importation into the United States, as well as methamphetamine for distribution in Australia.  Those individuals were, in fact, a confidential source working at the Drug Enforcement Administration’s (“DEA”) direction and an undercover DEA agent posing as a New York-based heroin distributor.  In December 2019, BALOUCHZEHI sent a courier in Mozambique to deliver a sample of approximately two kilograms of heroin, with the understanding that those drugs would be transported to the United States for testing and sale in New York City.  Following this sample heroin shipment, BALOUCHZEHI planned to supply thousands of kilograms of heroin for importation to and distribution within the United States.  In meetings in Nairobi, Kenya, in October 2021, BALOUCHZEHI agreed to distribute ton quantities of heroin for importation to New York and to provide the heroin via maritime routes, using a fishing company to conceal his narcotics activities, in order to make millions of dollars in profits.  During these meetings in Nairobi, BALOUCHZEHI also described his prior international drug trafficking activities over the last decade, including his loads of thousands of kilograms of heroin, and showed photographs evidencing his large-scale trafficking operation.

BALOUCHZEHI, 39, of Iran, was convicted of one count of conspiring to import heroin into the United States, and one count of distributing heroin for importation into the United States, each of which carry a mandatory minimum sentence of 10 years in prison and a maximum sentence of life in prison.

The statutory minimum and maximum potential sentences in this case are prescribed by Congress and are provided here for informational purposes only, as any sentencing of the defendant will be determined by Judge Furman.

Mr. Williams praised the outstanding efforts of the DEA’s Special Operations Division, Bilateral Investigations Unit and New York Field Division; the DEA’s Nairobi, Maputo, Pretoria, Bucharest, and Jakarta Country Offices; the Kenyan National Police; the Mozambique National Criminal Investigation Services; and the Western Australia Police Force.  Mr. Williams also thanked the U.S. Department of Justice’s Office of International Affairs for its assistance.Damian Williams, the United States Attorney for the Southern District of New York, announced that a jury returned a guilty verdict against MALEK BALOUCHZEHI, a/k/a “Malek Khan,” on charges of conspiring to import heroin into the United States and distributing heroin for importation into the United States.  U.S. District Judge Jesse M. Furman presided over the one-week trial.  BALOUCHZEHI is scheduled to be sentenced September 12, 2023.